Starting a business can be a rewarding and fulfilling experience. The government encourages such entrepreneurial instincts by supporting small businesses. You would be surprised at the potential of a single product: pickles!
Starting a business can be a great option if you know what kind of business to operate. Recently, small businesses have been receiving support from the government to undertake exporting operations. With the right support and encouragement, such companies can find potential markets in foreign lands. You Can Find Pickle Business Idea Online Easily!
One of the most popular segments within the export market now is the pickle manufacture and delivery business. Since India is the ‘Land of Spices’, pickles from our country have extensive untapped potential in European and North American markets. The large Indian expatriate population also helps in making this a profitable and growing sector.
Here’s a look at everything you need to know about running a pickle export business in India.
Indian Pickles Export Market
India exports pickles to over 54 countries, making the industry worth more than $31.45 million. Further, the top five exports share $21.46 million, highlighting how integral it is to start early and consolidate the market. Additionally, the export value of these top five industry leaders constitutes 68.24% of the total export value. Therefore, entrepreneurs who wish to start such a business must begin preparations at the earliest.
Did You Know?
Let us now look at the various aspects and documentation required to commence an Indian pickle export business.
What Is an IEC?
As per India’s Foreign Trade Policy, an exporter must obtain an Importer Exporter Code, better known as IEC. It is a 10-digit number issued by the Directorate General of Foreign Trade. Further, Section 2 of the FTP 2015-20 lays down the procedure entrepreneurs must follow while applying for IEC in India.
Making an IEC Registration provides entrepreneurs with the following benefits:
- Open opportunities to venture into the global market
- Do not require periodic renewal since the IEC has lifetime validity
- Return filing is not mandatory for IEC-registered traders
- Exporters don’t have to file their export/import transactions with the DGFT
- Opportunity to avail various government schemes and subsidies
- Utilise all the services offered by the Department of Customs and Export Promotion
How to Start an Export Business in India
Step 1: Setting up your company
First, you should get your company registered with the Ministry of Corporate Affairs. Not only will this give your business an independent legal status, but it also protects your assets and personal wealth. Moreover, Vakilsearch can register your company in the quickest and easiest way possible.
Step 2: Get IEC
After registering your company, you should apply for the IEC. This too can be done for you easily by Vakilsearch’s expert team.
Step 3: Find a target market
Now that you have registered your company and have an export license, you have to choose a target market for your product. For selecting the target market, you can take the help of trusted B2B websites or companies. These will help you find the top importing countries for pickles. Additionally, these include the USA, United Kingdom, Germany, and Canada amongst others.
Step 4: Find trustable vendor/buyers
Next, you need to focus on finding a real and genuine counterpart or buyer for your products. Several government portals and third-party vendors can help connect you with interested parties from other countries. These portals list the details of potential buyers to help you judge and verify their authenticity and genuineness.
Step 5: Partner with a good shipping company
Once you receive an order, you must procure the items to fulfil it and arrange the products for shipment. Partner with a credible shipping company to get your products to your customers safely and in good condition.
Several third-party service providers can help you along the way with packaging, customs, management and shipping.
Documents Required for Starting a Pickles Export Business
- Incorporation certificate
- Address proof of business premises
- Identity and address proof of directors or partners
- GST registration certificate
- PAN card
- Forex enabled bank account
- Central Food Licence or Fssai registration
How Vakilsearch Can Help?
As you can see, there are various aspects to consider and licenses required to start such a business endeavour. While you have the option to complete the registration yourself, it would be a lot easier if you took the help of legal consultancy services. Vakilsearch provides all these services and more to help you set up a pickle exporting business with ease.
Our team of legal experts will understand your unique requirements and do the needful to ensure that you can start your business at the earliest. We can help you incorporate your business, get a central FSSAI licence, obtain an IEC, etc. So, if you want to make the legal part of setting up your pickle business easy, make sure you reach out to Vakilsearch for assistance.
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